What does Gaia do and what are its main business segments?

What were the key takeaways from Gaia’s earnings call?

What is Gaia's gross profit margin?

What factors drove the changes in Gaia's revenue and profit?

What is the revenue and EPS growth rate for Gaia year over year?

What is the market's earnings forecast for Gaia next quarter?

What were the key takeaways from Gaia's earnings call?

What guidance did Gaia's management provide for the next earnings period?

- **Revenue Momentum**: 14% YoY growth to $25 million, driven by ARPU and member loyalty, with gross margin at 86.4%.
- **AI-Driven Engagement**: Beta AI Guide shows strong engagement, poised to enhance ARPU and reduce churn through personalized content.
- **Direct Member Focus**: 2/3 of members have >1-year tenure, with ARPU double third-party platforms and churn half as high.
- **Financial Strength**: 7th straight quarter of positive free cash flow ($0.9 million Q3), cash balance up to $14.2 million.
- **Igniton Potential**: Q3 revenue of $700,000 on Gaia Marketplace, targeting $3 million 2025 run rate with 82% gross margin.

**【Management Opening Remarks】**
- **Revenue Growth**: 14% YoY to $25 million, driven by ARPU and member count growth. Annualized gross profit per employee rose to $814,000, up 16% YoY.
- **Gross Margin Expansion**: Improved to 86.4% (from 86.1%), with Igniton contributing $700,000 in Q3 revenue via Gaia Marketplace.
- **Cash Position**: Increased to $14.2 million (from $4.4 million YoY), with a $10 million credit line renewed at lower rates.

**【CEO Commentary】**
- **AI Integration**: Launched AI Guide in beta, showing early success in engagement and repeat usage. Full rollout to include personalized recommendations and integrated chats.
- **Community Platform**: Planning 2026 launch of a community platform for members to connect and share, prioritizing direct member relationships.
- **Strategic Shift**: Focusing on direct members (2/3 of base with >1-year tenure) due to higher ARPU (double third-party) and lower churn (half of external platforms).

**【CFO Financial Commentary】**
- **Financial Health**: 7th consecutive quarter of positive free cash flow ($0.9 million Q3, $3.2 million YTD) with net loss of $1.2 million (stable YoY).
- **Cost Efficiency**: Operating cash flow of $0.3 million reflects disciplined spending, with no debt outside campus mortgage.
- **Igniton Outlook**: Projected 2025 run rate of $3 million, with 2026 targeting higher growth. Current gross margin 82%, below Gaia's 86% but improving.

**【Q&A Highlights】**
- **Churn Impact**: Price increases ($2 planned for Q2 2026) cause ~50% churn of price delta, but ARPU growth offsets member decline.
- **AI Monetization**: Expected to boost ARPU and reduce churn via enhanced engagement and personalized content discovery.
- **Content Investment**: 23% YoY increase in content spend to $15 million, supporting AI-driven curation and community growth.
- **Igniton Strategy**: Minimal marketing in Q3, with full launch planned for Q4 2025 to capitalize on holiday shopping.


Gaia, Inc. (GAIA) Q3 2025 Earnings Call Transcript

- **Revenue Growth**: 12% YoY to $24.6 million, with gross margin expanding to 86.7%.
- **Igniton Success**: $6 million raise at $106 million valuation; products now on Gaia Marketplace.
- **Free Cash Flow Doubling**: Q2 free cash flow of $1.6 million, up from $700,000 QoQ.
- **AI & Community Focus**: Launching AI companion and global conscious community platform within a year.
- **Price Hike Planned**: March 2026 increase targeting 80%+ of customers with mid- to high-teens percentage hike.
- **Marketplace Strategy**: Community-focused, with Peru travel trips sold out post-Egypt pivot.


**【Management Opening Remarks】**
- Q2 2025 revenue increased 12% YoY to $24.6 million, with gross profit up 16% to $21.3 million.
- Gross margin expanded to 86.7% (vs. 84.5% YoY), driven by operational efficiency.
- Total members reached 878,000, with annualized gross profit per employee rising to $814,000.
- Subsidiary Igniton raised $6 million at a $106 million post-money valuation, valuing Gaia's 2/3 stake at $70 million (2.5x increase from $28 million). Igniton products are now available on Gaia Marketplace.

**【CEO Commentary】**
- Core streaming business delivered double-digit revenue growth, exceeding expectations by $300,000.
- ARPU and member count growth, plus Igniton launch, drove Q2 performance.
- Free cash flow doubled QoQ to $1.6 million, reflecting operational discipline.
- Strategic focus on community building: planning a global conscious community platform to launch within a year.
- Developing a Conscious AI Companion sourced from Gaia's exclusive content for personalized member engagement.
- Emphasized long-term growth through high-margin SVOD model and exclusive content.

**【CFO Financial Commentary】**
- Net loss narrowed to $1.8 million ($0.07 per share) vs. $2.2 million ($0.09 per share) YoY.
- Operating cash flow of $2.3 million and free cash flow of $1.6 million.
- $13.9 million cash balance with a $10 million credit line renewed at improved terms.
- Igniton raised $6 million for product launches and capital expenditures; Gaia contributed $2 million.
- Planning price increase for March 2026, targeting 80%+ of customers with mid- to high-teens percentage hike.

**【Q&A Highlights】**
- **Igniton Go-to-Market**: Successful Biohacking Conference launch with $200/bottle product; planning post-Labor Day expansion. Distributorships being established, but regulatory approvals pending.
- **AI Strategy**: AI companion in development to enhance content delivery and member engagement; no immediate plans for licensing technology to other brands.
- **Marketplace Role**: Focused on community building rather than revenue; Egypt travel pivot to Peru shows strong demand for aligned experiences.
- **G&A Costs**: Q2 increase due to one-time Biohacking Conference expenses; normalized in future quarters.
- **2025 Revenue Guidance**: On track for 12% YoY growth, driven by ARPU and member additions, with Igniton contributing upside.


Gaia, Inc. (GAIA) Q2 2025 Earnings Call Transcript

- **Q1 Financial Stronghold**: 12% Revenue Growth, 87.8% Gross Margin, $0.7M Free Cash Flow
- **AI & Community Pivot**: $8M Invested in Generative AI Companion (Q1 2026 Launch) and Community Platform (Q1 2026 Beta)
- **Marketplace Adjustment**: Egypt Travel Advisory Impact Mitigated by Peru Tour Success, Back Half Recovery Expected
- **Leadership Evolution**: Kiersten Medvedich to Lead Day-to-Day, James Colquhoun to Drive Strategic Licensing Growth

**【Executive Chairman Jirka Rysavy Opening Remarks】**
- Q1 2025 Revenue: $23.8M (+12% YoY), Gross Profit: $20.9M (+15% YoY), Gross Margin: 87.8% (vs 85.4% YoY)
- Member Growth: 867,000 total members (+12% YoY), Focus on High Lifetime Value Members
- Free Cash Flow: $0.7M, Cash Balance: $13.1M
- AI & Community Investment: $8M Capital Raise Proceeds Allocated to Generative AI Development and Gaia Community Platform

**【CEO James Colquhoun Strategic Update】**
- **AI-First Strategy**: Launching Generative AI Companion in Q1 2026, Internal Testing Exceptional
- **Community Platform**: Alpha Testing Q4 2025, Beta Launch Q1 2026, Focus on Chapter-Based Engagement
- **Marketplace Softness**: Q1 Revenue Missed by 1% Due to Egypt Travel Advisory, Q2 Peru Tours Sold Out
- **Leadership Transition**: Kiersten Medvedich to Become CEO at End of Q2, James Colquhoun to Lead Business Development

**【CFO Ned Preston Financial Highlights】**
- EPS: -$0.04 (vs -$0.05 YoY), Operating Cash Flow: $1.3M, Free Cash Flow: $0.7M
- Discontinued Business Impact: $1.2M Revenue Removed from Prior Year Comparison
- $10M Credit Line Fully Available, No Debt Outstanding

**【Q&A Key Takeaways】**
- **Igniton Launch**: Biohacking Conference End of May, Full Market Launch Post-July 4
- **AI Product Integration**: Generative AI Will Be Embedded in Existing App/Web Experience
- **Community Platform Development**: 9+ Month Build Timeline, Testing with Core Members First
- **Travel Business Recovery**: Marketplace Q2 Softness Expected to Normalize in Back Half of Year

Gaia (GAIA)-12 May 25-2025 Q1 Earnings call transcript

- **Revenue Growth**: Q4 2024 up 18% to $24.4M, full-year 12% to $90.2M, with ARPU rising to $107 annually.
- **Profitability**: Gross margin 88.3% (vs. 85.3% in Q4 2023), free cash flow $2.7M (vs. -$1.3M in 2023).
- **AI & Community**: $8M investment in 2025 for AI-driven content and community platform, with Q1 2026 price increase targeting 10%+ ARPU growth.
- **Pricing Success**: 18% price increase in Q4 2024 yielded 6.3% churn, with 2026 Q1 $2 increase planned to further boost margins.

**【Executive Chairman Summary】**
- Q4 2024 revenue grew 18% YoY to $24.4M, with full-year revenue up 12% to $90.2M.
- Gross margin improved to 88.3% (vs. 85.3% in Q4 2023), driven by price increases and cost efficiency.
- Free cash flow turned positive for both Q4 and FY2024, with $2.7M annual free cash flow (vs. -$1.3M in 2023).
- Member count grew 6% YoY to 856,000 despite a $2 price increase, with ARPU rising to $107 annually.

**【CEO Strategic Updates】**
- 2025 growth targets: Accelerate revenue >12% YoY, expand AI-driven engagement, and roll out Gaia+ 2.0 with AI integration.
- AI initiatives: Building a conscious generative AI trained on 98% of Gaia's proprietary content, with ElevenLabs-powered translation for global accessibility.
- Community expansion: Investing $8M in 2025 to build a Reddit-like community platform, targeting network effects and retention.
- Pricing strategy: 18% price increase in Q4 2024 resulted in 6.3% churn, with 2026 Q1 planned $2 increase to further boost ARPU.

**【CFO Financial Highlights】**
- FY2024 gross profit rose 13% to $77.8M, with gross margin at 86.1% (vs. 85.5% in 2023).
- Net loss narrowed to -$5.4M (vs. -$5.6M in 2023), with EPS improving 19% YoY.
- 2025 guidance: Gross margin ~86%, free cash flow growth, and continued investment in AI/community.

**【Q&A Key Takeaways】**
- Pricing impact: 18% price increase yielded 7.5% net ARPU gain, with churn <7.5% in Q1 2025.
- AI timeline: Generative AI integration to launch Q1 2026 alongside price increase, with beta testing in Q4 2025.
- Igniton launch: New course platform to launch Q2 2025, targeting $1.1M+ in FY2025 revenue (vs. $1.1M from legacy courses in 2024).

GAIA

GAIA fundamentals

Earnings Call

You can ask Aime